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Report regarding a resolution authorizing the City Manager or their authorized designee to execute the first amendment of a professional services agreement with Protiviti Government Services, Inc. for database extraction and transformation services in a total not-to-exceed amount of $285,000. (Tony Barrera, Director of Information Technology Department)
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RECOMMENDATION
Recommendation
Staff recommends that the City Council adopt a resolution authorizing the City Manager or their authorized designee to execute the first amendment of a professional services agreement with Protiviti Government Services, Inc. for database extraction and transformation services for a total not-to-exceed amount of $285,000.
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BACKGROUND/DISCUSSION
In early 2026, the City initiated an Enterprise Resource Planning (ERP) system project to consolidate Financial Accounting, Payroll, and Human Capital Management (HCM) functions into a centralized solution. As part of the initial planning phase, the Information Technology Department engaged Protiviti, a business consulting firm, to assist with data extraction and transformation from the City’s two disparate legacy systems: the financial system and payroll / human resources database.
During the first four months of the project, the IT Department and Protiviti’s technical team worked to extract and transform data into the new ERP system. However, the scope and complexity of this work exceeded the original contract amount. Despite this, Protiviti has been instrumental in advancing the project. Their team has supported the testing and validation of migrated legacy data, as well as the identification and remediation of data issues in preparation for the final data load scheduled for August.
Protiviti has also played a key role in project coordination by actively participating in meetings, providing technical guidance to staff, developing a deep understanding of the City’s data, and asking critical questions necessary for accurate data extraction and transformation. Their expertise in the ERP system, familiarity with system terminology, and proven experience have made them an essential partner in the successful execution of this project.
City staff utilized the California Department of General Services, California Multiple Award Schedule (CMAS) for the services provided by Protiviti. According to the South San Francisco Municipal Code Section 4.04.040(b), the City may “piggyback” off an existing contract, if the contract terms are valid and have been negotiated by another governmental agency using a quote or bid process that substantially conforms to the procedures established by state law and the City purchasing ordinance. Furthermore, the City’s purchasing policy requires the bid process on the piggybacked contract to have been completed within the last year. The City Attorney has reviewed the CMAS Contract structure used by the consultant and found it consistent with City’s purchasing procedures.
Protiviti has provided a proposal to complete the data extraction and transformation through the end of the project. The total cost of the original agreement entered into on July 24, 2025, was for an amount not-to-exceed $135,000. The total cost of the amendment is for an additional $150,000, bringing the amended total cost to an amount not-exceed $285,000.
FISCAL IMPACT
There are sufficient funds in the ERP project fund to cover the additional costs and will not impact the General Fund.
RELATIONSHIP TO CITY COUNCIL PRIORITIES ACTION PLAN
Approval of this action will contribute to the City Council’s Priorities Action Plan under the Modern and Sustainable Organization Major Focus Area, ensuring financial sustainability.
CONCLUSION
The ERP project is highly complex and requires support from multiple teams, including the data extraction team. Protiviti Government Services, Inc., has been providing data extraction services, and their continued support is essential to maintaining the project timeline and ensuring overall success.